Kyrgyz Republic: Agriculture Area Development Project

The Kyrgyz Republic, after becoming an independent state in 1991, steadily implemented a program of agriculture sector reforms that focused primarily on land reform and privatization of state and collective farms, liberalization of trade and commodity prices, and privatization of input supply and output marketing and processing ventures. However, the performance of the agriculture sector was less than expected. Performance also varied across regions. The sector continued to underperform as many farms and agro-processing facilities did not operate efficiently, thus failing to attain financial viability. Support interventions from the government meant for key investment areas were not only fragmented but also uncoordinated such that the desired linkages between public sector investments and private sector initiatives were not realized.